2013 (1) TMI 374 - HC - FEMA

Penalty imposed upon the partners of firm - Whether Tribunal was justified in deleting the penalty imposed upon the partners of the firm on the ground that the penalty against the firm has been confirmed - Held that - Following the decision in case of Overseas Textiles Corporation (2012 (9) TMI 388 - BOMBAY HIGH COURT) that in absence of lapses/negligence/mala fides on the partners of the firm in realizing the export proceeds, imposition of penalty, against the partners is unjustified especially when the penalty imposed against the firm has been confirmed - In favour of assessee

Summary

The High Court Bombay upheld the Appellate Tribunal's decision to delete the penalty imposed on partners of a firm when the penalty against the firm had been confirmed. The Court found no reason to interfere with the Tribunal's order based on previous judgments. The appeal was dismissed with no costs.